Conducting due diligence, legal due diligence of the company

Yurbureau LLC offers Legal Due Diligence services of the companies and real estate in Moscow and other regions in Russia.

Legal Due Diligence - a comprehensive review of the financial activities of the company or certain asset before buying or selling. An analysis of the information and evaluation of the data is determined by the level of reliability of a company or asset level of compliance legislation, certain criteria, corporate standards, the current law or customs of business turnover.

The main objectives of the Legal Due Diligence

The main objectives of the Legal Due Diligence are:

Getting the owner/seller/potential buyer more information about the asset and its condition;

Identification of possible legal risks to be acquired/sold asset;

Analysis of business processes and risks in the areas of ownership, management and protection of assets;

Verification of documents and information regarding the history of the creation or acquisition of an asset, as well as analysis of legal personality and its controls on specific dates of transactions;

Valuation of the asset and its components.

Who may need the procedure of Legal Due Diligence

Conducting legal due diligence may be required by:

Seller of the asset prior to the transaction in order to identify and remedy deficiencies affecting its cost;

Seller of the asset prior to the transaction to verify the solvency and reliability of the buyer ( the buyer in respect of the asset);

The buyer of the asset prior to the transaction, to evaluate the feasibility of acquiring and calculate a reasonable price considering all risks;

The buyer of the asset after the transaction to verify the quality of the acquired asset;

Investors to properly assess the investee;

Intermediaries in the sale and purchase of assets in order to minimize their own responsibility (realtors, sales representatives, etc.).

Who can spend Legal Due Diligence

Due diligence of the companies can be hold by:

legal division of the vendor (internal Due Diligence);

legal division of the acquiring company;

a special service of internal control group of companies;

raised legal advisers (eg, the company Yurbureau LLC).

Objects of Legal Due Diligence

What is checked in the framework of due diligence:

The legal status of real estate are the subject of the transaction;

Assigned to the transaction right to demand;

Legal entity - the counterparty to the transaction for the future reliability and solvency;

How to check the trustworthiness of the company

Depending on the specifics of the audited asset can be checked different components of the company, but the general methodology for conducting Due Diligence is the following:

Clarification of goals, objectives test, timing of its implementation, specification of the object to scan, the granularity and other terms of the due diligence;

Statement of the main issues of their registration as a list (check list);

Sample documents to verify their systematization and generalization on specific topics;

Sending the target company consolidated list of questions and the necessary documents;

Analysis of the documents;

Drafting the report held on due diligence with the designation of identified risks (so-called due diligence report - by link you can download example of legal due diligence in russian).

Advantages of our company

Conducting Due Diligence of the companies is one of the main activities of Yurbureau LLC. Since 2006, we have been practicing this type of service. Check their future partners trust us many successful companies. One such company is the Da Vinci Capital - a leading independent asset management company, established in 2007 and specializing in direct investments in mid-cap companies in Russia, Kazakhstan and other CIS countries.

The cost of legal due diligence, dates

Depending on the amount of verifiable information and the urgency of the audit , the timing of Due Diligence can range from several days to several weeks.

The cost of legal due diligence of the companies - from 150,000 RUR.

The cost of legal due diligence of real estate - from 70,000 RUR.

Checking contractor trustworthiness

Whether to conduct due diligence of the counterparty, each company determines its own. However, based on our experience, we recommend that our present and future customers to conduct due diligence procedure of legal entities. This step allows you to significantly minimize their risks and protect themselves from potential losses.

How to contact us ?

If you need any help, feel free to ask us a question via phone or email, indicated in Contacts